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CFTC Probes Binance U.S. Over Possible Insider Trading and Market Manipulation

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Sat, 09/18/2021 - 08:20
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Yuri Molchan
Regulators continue to probe the U.S. branch of Binance, adding suspicions of insider trading this time
CFTC Probes Binance U.S. Over Possible Insider Trading and Market Manipulation
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According to Bloomberg, the U.S. Commodity Futures Trading Commission (CFTC) has expanded its Binance U.S. probe to see whether insider trading and market manipulation have been taking place there.

Scrutiny of the largest global exchange intensifies

U.S. regulatory authorities are seeking to find out if the world’s biggest crypto trading venue Binance allows insider trading and manipulation of the crypto market, while Binance stated that it takes strict measures against any misconduct.

People acquainted with the matter and who preferred for their names and positions not to be mentioned told Bloomberg that this new probe is being made confidentially. The CFTC is investigating if Binance or any of its employees have made any profit by taking advantage of their clients.

In a Binance statement mentioned by Bloomberg, a Binance representative said that the company does not put up with insider trading and follows a strict code to prevent any of such misconduct that can harm customers of the exchange and damage its reputation in the crypto market.

According to the rep, the security team of Binance always makes sure that no wrongdoing takes place or if it does, the malefactors are held responsible for that.

No comment from the CFTC has been obtained so far on that.

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Binance in hot water with global regulators

This year, the CZ-founded Binance has been under the spotlight of regulators in multiple countries and parts of the world.

It has been receiving warnings from regulators of the UK, Europe, Singapore, Africa, etc, getting statements from them that the exchange has not been licensed to operate there at all or offer particular products.

The latest countries to give warnings to Binance have been Singapore and South Africa. As a result, the platform has stopped supporting crypto-fiat pairs based on the Singapore dollar.

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About the author

Yuri is a crypto journalist interested in technology and technical innovations. He has been in crypto since 2017. Believes that blockchain and cryptocurrencies have a potential to transform the world in the future in many of its aspects. ‘Hodls’ major cryptocurrencies and has written for multiple crypto media outlets. 

His articles have been quoted by such crypto influencers as Tyler Winklevoss, John McAfee, CZ Binance, Max Keiser, etc.

Currently Yuri is a news writer at U.Today and can be contacted at yuri.molchan@u.today.